Texas Medical Association Sues Cigna Over Prompt Payment

On Tuesday a case was removed to the Southern District of Texas from Montgomery County, Texas state court. The case was filed by Texienne Physicians Medical Association, PLLC against Cigna Healthcare of Texas. The case is regarding the prompt payment of medical billing per contract.

The plaintiff is a medical group directly contracted with Cigna to provide medical services at a specific discounted rate for the Cigna-insured population. As a part of that contract, there is a clause that requires payment within a specified time period for claims that are submitted properly or “clean claims.” The plaintiff also cites to Texas Insurance Code for the defendant’s responsibility to pay claims in a timely manner.

The plaintiff is suing for recovery of benefits, statutory penalties and interest, and attorney fees regarding the breach of contract. They are represented by Seiler Mitby, PLLC. Cigna is represented by Spencer Fane LLP